Lessons from Our Hospitality and Hotel Marketing Research
In today’s rapidly evolving, digital-first world, the hospitality industry is more competitive than ever. Our recent market research revealed a surprising trend: many guesthouses, hotels, and B&Bs still lack websites or digital platforms, relying solely on Online Travel Agents (OTAs) for bookings.
Here’s why having a strong digital strategy is crucial for hospitality properties and how it can transform their business:
1. Your Own Digital Presence = Control
Many properties depend entirely on OTAs to handle their reservations. While OTAs are useful for visibility, they come with high commission fees and limited control over your brand messaging. By having a dedicated website and digital marketing strategy, properties can:
- Reduce OTA dependency and increase direct bookings, leading to higher profit margins.
- Showcase their Unique Selling Points (USPs), such as unique locations, property history, in-house restaurants, spas, or experiences, which OTAs might not highlight. Even a simple one-page website can significantly enhance your digital presence. Research has found that guests will look at your rooms and facilities before deciding to book, then your “About” section to learn more about the people behind the business, especially if it is a smaller, privately owned business.
- Build a direct relationship with their guests through email campaigns, loyalty programs, and personalised offers.
- Establishing trust is crucial for any business. Especially in the hospitality industry rife with fraud and scams, guests want to be assured that yours is a legitimate business. Many scammers duplicate guesthouse listings and take clients’ money only for them to arrive at a non-existing property, or realise the establishment has no record of their reservation. Having a solid website with a trusted online booking system is crucial to building trust with your guests and being in control of your reservations.
2. Capturing the Fastest Growing Market Segments
Our research highlighted three rapidly growing travel segments: luxury, adventure, and wellness travel. These travellers are known for conducting thorough online research before choosing a destination or accommodation. A strong digital presence, including a well-designed website, engaging social media, and strategic SEO, ensures:
- Visibility where these discerning travellers are searching—primarily online.
- The ability to showcase tailored experiences, such as exclusive packages for wellness retreats or adventure tours.
- Trustworthiness: travellers in these segments often equate a sophisticated digital presence with the quality of the property itself.
In today’s fast-paced world, research shows that visitors decide within 5 seconds if they are interested in the business, or not. Having a digital hospitality or hotel marketing presence that includes a website with fast loading speed, captivating messaging, beautiful imagery, and a user-friendly interface is crucial in generating conversions and sales.
3. The Power of Clear CTAs (Call to Action)
One of the most overlooked yet effective digital strategies is having clear CTAs on every page of your website. A well-placed CTA guides potential guests toward making a booking or enquiry. Without it, you risk losing customers after they’ve browsed through your offerings. Benefits of clear CTAs include:
- Increased Conversions: Whether it’s “Book Now,” “Check Availability,” or “Contact Us,” these simple, direct actions encourage immediate engagement and reduce the chances of guests abandoning the site.
- Improved User Experience: Guests appreciate an intuitive, seamless online journey. Clear CTAs help them navigate effortlessly, which boosts overall satisfaction and increases the likelihood of a booking.
- Measurable Results: By tracking CTA clicks, properties can gain insights into what drives potential guests to convert, allowing for more targeted strategies.
In 2017, armed with some urgent questions about a marketing mishap, Thatcher Jensen wrote a letter to one of the most famous women in the world; Dame Harriet Walter. Watch her reading this hilarious letter on Letters Live at the Royal Albert Hall in March 2024, where she highlights the cost of not having clear CTA’s on your digital media.
4. Case Study: How Two Properties Boosted Profits by Updating Their Online Presence
Let’s look at real-world examples of properties that transformed their business through a digital strategy.
Vida Nova Kruger, a small, 9-bedroom lodge bordering the Kruger National Park, initially relied solely on OTAs for its bookings. They lacked a website and any form of digital marketing presence. After partnering with Grindstone Advertising to develop a modern website and run targeted social media campaigns, they saw impressive results within six months:
- 60% increase in direct bookings, reducing their OTA commission fees significantly.
- Their profit margins rose by 35% after just one year of implementing their digital strategy.
- They engaged the growing wellness travel market by promoting their walking safaris and on-site spa through social media and email marketing campaigns, capturing a previously untapped demographic.
Azulik Collection, which includes two exclusive-use luxury villas in Mozambique’s remote Vilanculos Wildlife Reserve, had an outdated website with hard-to-read cursive fonts and minimal engaging content. Their location already posed challenges for accessibility, and without proper SEO or a digital strategy, their website struggled to attract visitors.
Grindstone Advertising stepped in to design and develop a mobile-friendly site with enhanced SEO and user experience, paired with a comprehensive digital strategy aimed at driving traffic. Within the first month of the new website launch, the client reported increased interest from travel agents who had previously overlooked the property, along with five direct bookings in one week, matching what they used to receive in a whole year!
These case studies illustrate the clear financial benefit of having a dedicated digital presence. By making it easy for guests to book directly on their website and by targeting niche markets, Vida Nova Kruger and Azulik Collection achieved substantial growth in both revenue and brand recognition.
5. Leveraging Reviews & Online Reputation
Online reviews are essential, but your digital strategy should involve more than just hoping for good feedback on OTA platforms. Properties can:
- Actively manage and respond to reviews across various platforms, improving credibility.
- Showcase testimonials and case studies on their websites to build trust.
- Use social media channels to engage directly with satisfied customers and encourage user-generated content.
6. A Solid Social Media Presence Drives Awareness
Social media, especially platforms like Instagram, TikTok, and Facebook, plays a pivotal role in the decision-making process for travellers. Adventure seekers and wellness travellers often discover new destinations and accommodations through social media influencers, hashtags, and visual content. When your hospitality or hotel marketing plan includes having a solid social media strategy, it allows properties to:
- Build awareness through visually appealing content.
- Collaborate with influencers to target specific demographics.
- Engage with potential customers by showcasing their unique value propositions.
7. A Holistic Digital Marketing Strategy Boosts Long-Term Growth
Success in the long term requires more than just an online presence. They need an integrated digital marketing strategy that includes:
- Search Engine Optimisation (SEO) to ensure their website ranks well when potential guests search for accommodation or experiences in their area.
- Paid Digital Advertising: Well-targeted Google Ads, Facebook and Instagram Ads, and LinkedIn campaigns can drive highly qualified traffic to a property’s website, reducing the reliance on OTAs.
Email Marketing: A key tool for retaining customers and promoting special offers.
Don’t Rely Solely on OTAs – Go Digital with Grindstone Advertising
The digital landscape is more competitive than ever, and for hospitality properties to thrive, they must meet potential guests where they are… online. Investing in a solid digital strategy enables properties to:
- Increase direct bookings, reducing OTA fees.
- Reach and convert the growing luxury, adventure, wellness, and other niche travel segments.
- Build long-term brand loyalty through strategic digital marketing.
At Grindstone Advertising, we specialise in helping hospitality businesses like yours establish and grow their online presence. With our expertise, we’ll ensure that your property stands out in this competitive market. Contact us today to discover how we can help your business succeed digitally.You can also read our blog Marketing Must-dos for the Travel & Tourism Industry for more tips and advice for your hospitality business.
